SENATE BILL REPORT

                   SB 5669

               As Passed Senate, March 12, 1997

Title:  An act relating to the collection of the metals mining and milling fee.

Brief Description:  Revising the collection of the metals mining and milling fee.

Sponsors:  Senator Morton; by request of Department of Revenue.

Brief History:

Committee Activity:  Agriculture & Environment:  2/20/97, 2/25/97 [DP].

Passed Senate, 3/12/97, 43-0.

SENATE COMMITTEE ON AGRICULTURE & ENVIRONMENT

Majority Report:  Do pass.

  Signed by Senators Morton, Chair; Swecker, Vice Chair; Fraser, McAuliffe, Newhouse, Oke and Rasmussen.

Staff:  Vic Moon (786-7469)

Background:  In 1994 the Legislature established a metals mining and milling fee which applied to hard rock precious metals such as gold, silver and some types of copper.  The fee became effective July 1, 1995, and the Department of Revenue was the collection agency.  At the present time, the Department of Ecology and Natural Resources identify those taxpayers subject to the fee and calculate the amount due for each.  Billing and collection of payments is performed by the Department of Revenue.  At the present time, there are three taxpayers that are subject to the fee.

Summary of Bill:  The transfer of responsibility for collecting and administering the fee for metals mining is transferred from the Department of Revenue to the Department of Ecology.

Appropriation:  None.

Fiscal Note:  Available.

Effective Date:  The bill contains an emergency clause and takes effect July 1, 1997.

Testimony For:  It would be much easier for Ecology to collect the fee directly.

Testimony Against:  None.

Testified:  Jim Hedrick, Department of Revenue.